Definition of Chargeback:
Electronic commerce: Withdrawal by the credit card issuer of the amount credited to the merchants account (plus a chargeback fee) when a card-holder disputes a transaction charged on his or her card. The merchant usually has 10 days to submit proof of purchase and proof of delivery to reclaim the charged back amount.
In the U.S. chargeback reversals for debit cards are governed by Regulation E of the Electronic Fund Transfer Act. Chargeback reversal for credit cards are governed by Regulation Z of the Truth in Lending Act.
A demand by a credit-card provider for a retailer to make good the loss on a fraudulent or disputed transaction.
Accounting: Allocation of costs and resource usage based on actual usage or a predetermined amount. See also chargeout.
A chargeback is a charge that is returned to a payment card after a customer successfully disputes an item on their account statement or transactions report. A chargeback may occur on debit cards (and the underlying bank account) or on credit cards. Chargebacks can be granted to a cardholder for a variety of reasons.
How to use Chargeback in a sentence?
- The developers also work with banks to create repeatable custom reports that can focus on any aspect of authorizing a card or transaction, including chargebacks for disputed amounts and fraud.
- Sometimes a customer may want to return the product so you should have a small window of time where they can get a chargeback .
- A chargeback is the payment amount that is returned to a debit or credt card, after a customer disputes the transaction or simply returns the purchased item.
- The chargeback process can be initiated by either the merchant or the cardholder’s issuing bank.
- I always use a company credit card when shopping for refreshments for the annual conference because the account has a chargeback , so I never go over budget.
- My dad explained to me that I would be offered a chargeback from the bank for their mistake in over charging me in the past.
- Merchants typically incur a fee from the card issuer when a chargeback occurs.
Meaning of Chargeback & Chargeback Definition